The Boral group is considering outsourcing its two super funds, the Boral Employees Superannuation Trust (BEST) and the Boral Superannuation Plan (BSP), which together have assets of $430 million, to a master trust.
Tender consultant Warren Chant, a principal at Chant West, confirms that the group has invited six service providers to tender: BT, Plum, Colonial, Mercer, Towers Perrin and Deutsche Bank.
The tender, the third largest full outsourcing deal in Australian super history, could also become the biggest to be won by a master trust.
So far, the largest fund to take the full outsourcing plunge is the $650 million OneSteel super fund. It did not, however, go to a master trust, but to Towers Perrin’s SuperSolution. Its thunder is set to be stolen by the outsourcing of the BHP Steel super arrangements, which have assets of around $700 million.
The largest tender actually won by a master trust — the Mercer Retirement Trust — was that for the John Fairfax and Age super funds, which had combined assets of around $350 million and 5,500 members.
